Following a phase of consolidation below 123.00, USD/JPY picked up fresh momentum and climbed to its highest level in 11 weeks at 123.26. At time of writing, the pair is trading at 123.20, recording a 1.23% gain on Friday.

The pair has risen each of the last five trading days and is on track to post its largest weekly gain since October 2014, supported by growing expectations, fueled by NFP, that the Fed will begin raising rates in December.

USD/JPY levels to watch

In terms of technical levels, USD/JPY could find next resistances at 123.25 (Nov 6 high) and 123.48 (Aug 21 high) ahead of 124.00 (psychological level). On the other hand, supports could be faced at 121.76 (100-day SMA), 121.10 (200-day SMA) and 120.59 (Nov 3 low).
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